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You can find reports from our Investment and Research team, timely and informative financial planning topics from our Wealth Management team, and deeper dives on various important topics in our white papers from any team member. Read online, share with friends, or download for your convenience.

Looking for a back to school gift for your child or grandchild? The following books can be a great way to introduce elementary school-aged children to the basics of finance and help facilitate conversations about money. Thoughtfully covering themes of earning, saving, and spending money, these books will also introduce emotional and behavioral drivers of financial decisions.

By: Paul Cantor, CFA®, AIF®, CFP™
Chief Operating Officer, Principal

I was recently asked by friends why my economic and market outlook was tinged with some concern. It was a valid question from some very intelligent non-financial professionals. The financial media is filled with positive bias as they cheer Apple becoming the first company in history to reach a $1 trillion-dollar market capitalization. Additionally, we just posted the strongest GDP growth that we have seen in years of 4.1% for the quarter. The stock markets hover at near record highs. Consumer confidence is bordering on ebullient. S&P 500 earnings are estimated to grow by nearly 23% for the quarter. Corporate managements are repatriating funds from overseas and buying back stock at unprecedented rates supporting both stock prices and earnings growth. According to S&P Global Rankings, “Total cash held by U.S. nonfinancial companies, including money parked domestically and overseas, rose 9% to a record $2.07 trillion.”1 The unemployment rate ticked down to a new low of 3.9%, the lowest we’ve seen in over 17 years.

Consumer and corporate balance sheets are ostensibly in terrific condition. We are enjoying the second longest economic expansion since 1945 according to the National Bureau of Economic Research. So, why the concern? This paper will add some perspective, looking deeper into the averages to show why they could be fallacious.

Click here to read our full white paper: The Fallacy of Average.

APA Nicholas 3x4HI RGBAllegiant Private Advisors is pleased to announce that Portfolio Manager Luke Nicholas, CFA, CFP® has earned the CERTIFIED FINANCIAL PLANNER™ designation.

Luke joined Allegiant Private Advisors in 2013. In his role as portfolio manager and member of the firm’s Investment Committee, he is responsible for using internally-generated research to tailor customized investment portfolios for each client. Prior to joining Allegiant Private Advisors, Luke graduated from the Honors Program at The University of Florida with a bachelor’s degree in Finance. Luke holds his Chartered Financial Analyst® designation in addition to having earned his CERTIFIED FINANCIAL PLANNER™ accreditation in the summer of 2018.

Allegiant’s team approach to customized wealth management with concierge-level service is rooted in recruiting and retaining consummate professionals who possess important industry credentials as well as the utmost character. We’re proud of Luke’s latest accomplishment as he works diligently to serve your portfolio goals.

The chart below displays the average monthly rise or decline in payrolls across business sectors from January to July in 2017 and 2018. As seen in the July jobs report, demand for manufacturing labor remains very high, and has seen the highest growth in payrolls versus 2017 in the measured time period. Manufacturing job trends will be important to watch as we get deeper into the trade war and labor supply gets constrained further. We are paying close attention to future job reports and broader economic developments.

Chart JobsMarketTakeways
All indices are managed, and investors cannot actually invest directly into an index. Unlike investments, indices do not incur management fees, charges or expenses. Past performance does not guarantee future results.

As we are now about halfway through companies reporting their second quarter earnings reports, we wanted to take a look at how different sectors of the market have performed. While earnings growth has been strong overall, there have been wide swings in stock prices upon the release of their financials. The most notable occurrence of this earnings season has been the performance of the technology sector which has been plagued by sizable selloffs in big names such as Netflix, Facebook, Twitter, and Intel.

Q2 2018 US GDP Growth
The first estimate of second quarter GDP growth showed that the U.S. economy grew at a solid pace, driven in part by the recently enacted tax cut. The economy grew 4.1% in the second quarter, the strongest reading since the third quarter of 2014. The largest contributor to growth was a 4.0% increase in consumer spending. Business investment growth was also solid at 7.3%. However, a drawdown in inventories offset the entirety of this underlying investment growth. Government expenditures were another positive contributor, increasing 2.1% during the quarter. The final component of GDP, net exports, added 1.06% to growth, as exports surged 9.3%. While at first glance the export growth appears to be a very positive piece of data, it is an aberration that may be unsustainable moving forward. Almost all the growth in exports derived from a surge of soybean and other agricultural shipments ahead of pending tariffs beginning on July 1st. This means that the surge is likely to be reversed next quarter. 

Lynda FranklinIt’s hard to believe but July 25th was my 10-year anniversary with Allegiant Private Advisors, an accomplishment I’m blessed and proud to reach.  I look forward to celebrating many more years.

I am one of three APA team members who was born and raised in Sarasota. You’ll probably find out who the others are when they write their bio a little later, I’m sure!  I also share the same birthday as another team member; not the same year, though. Unfortunately, I’m old enough to be their mother!

APA Jones 3x4LOAllegiant Private Advisors, an independent firm in Sarasota, Fla., today announces that its Chief Investment Officer Benjamin W. Jones, CFP®, AIF®, has been named to the Forbes’ Top 1,000 Next-Generation Wealth Advisors list for 2018. The list is published on Forbes.com.

Jones has been managing assets for private individuals, families, and charitable organizations for over a decade. As a Principal and Chief Investment Officer of Allegiant Private Advisors, he leads the firm’s Investment Committee. Jones is responsible for establishing the firm’s overall investment strategy, security selection, portfolio management, and oversees research activities. 

As mentioned in previous editions of our weekly charts, the current trade dispute has massive implications for both China and the U.S.; however, to this point, much of the tit for tat retaliation has been in the form of tariffs on the opposing country’s imports.

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